One important aspect of insurance compliance is being aware of money laundering, and genuinely knowing your customer. In an era when international payments are being sent instantly, sometimes in a basket of currencies, by a variety of third party companies using smartphone apps, it’s wise to ask where is the money actually coming from?
More info in the following press release from HMRC on the Touma case;
The fight against money laundering has taken a significant step forward today, as HM Revenue and Customs announces a record fine against a London business for breaching strict regulations, which could have left them at the mercy of criminals looking to wash dirty cash.
West London money transmitter Touma Foreign Exchange Ltd ignored anti-money laundering regulations and received a £7.8 million penalty. Details of the fine were published on GOV.UK, as HMRC continues to use its powers to crack down on those that break the rules.
The company was fined by HMRC for a wide range of serious failures under the Money Laundering Regulations. Between June 2017 and September 2018, the business breached rules on:
- risk assessments and associated record-keeping
- policies, controls and procedures
- fundamental customer due diligence measures
- adequate staff training